The Niagara neighbourhood has a rich history that dates back to 1793, when it was part of a military garrison for the fledgling Town of York. Old Fort York, is still standing on Garrison Road, between Bathurst Street and Strachan Avenue.

Street names in the Niagara neighbourhood are reminders of its military past. For example: Stanley Street is named after the former Stanley Barracks now located on the Exhibition grounds, Niagara Street is named after the former military capital of Upper Canada, and Tecumseh Street is named for the great warrior chief of the Shawnee, who fought for Canada, in the war of 1812.

The second chapter in this neighbourhood's history began in the 1850's, when Niagara emerged as a prominent industrial centre. Niagara's factories and mills created a demand for workers housing which led ultimately to the residential development of the Niagara neighbourhood in the mid to late 1800's.